Project Report of Titan

7/28/2019 Project Report of Titan

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A

PROJECT REPORT

ON

TITAN

For the partial fulfillment of the course

Of Management of Business Administration (MBA)

SUBMITTED TO: SUBMITTED BY:

MEENUM ABDI NIMMY JAMES

NATIONAL INSTITUTE OF ENTREPRENEURSHIP, NOIDA (U.P.)

2012


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INDEX

Sr.No. Particular Page No.

1 Introduction 3-8

2 STP, Marketing mix 9-23

3 Latest development 23

4 Research methodology 23

5 Conclusion, finding, recommendation 23-24

6 Bibliography 24

7 Swot 24-25

8 Michael porters model 26-28


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Introduction

History of titan

Titan Industries is the world's fifth largest wrist watch manufacturer and India's leading

producer of watches under the Titan, Fastrack, Sonata, Nebula, RAGA, Regalia, Octane & brand

names. It is a joint venture between the Tata Group, and the Tamil Nadu Industrial Development

Corporation(TIDCO) Its product portfolio includes watches, accessories and jewellery, in both

contemporary and traditional designs. It exports watches to about 32 countries around the world

with manufacturing facilities in Hosur, Dehradun, Goa and manufactures precious jewellery

under theTanishqbrand name, making itIndia's only national jewellery brand. It is a subsidiary

of theTata Group.

Titan Industries was established in 1984 as a joint venture between the Tata

Group and the Tamil Nadu Industrial Development Corporation. The company brought about a

paradigm shift in the Indian watch market, offering quartz technology with international styling,

manufactured in a state-of-the-art factory at Hosur, Tamil Nadu. Leveraging its understanding of

different segments in the watch market, the company launched a second independent watch

brand-Sonata, as a value brand to those seeking to buy functionally styled watches at affordable

prices. In addition it focused on the youth with its third brand Fastrack. It has also premiumfashion watches by acquiring a license for global brands such as Tommy Hilfiger and Hugo

Boss, while. It has also in its portfolio its first Swiss Made watch brandXylys.

In 1995, the company diversified into jewellery under the brand Tanishq to capitalize on a

fragmented market operating with no brands in urban cities. In 2005, the company launched its

second Jewellery brand, Gold Plus, for capitalizing on the opportunity in small towns and rural

India.

The company has now diversified into fashion Eyewear by launching Fastrack Eye-Gear

sunglasses, as well as Prescription Eyewear. The Company leveraged its manufacturing

competencies and branched into Precision Engineering Products and Machine Building from

2003.
http://en.wikipedia.org/wiki/Wrist_watchhttp://en.wikipedia.org/wiki/Wrist_watchhttp://en.wikipedia.org/wiki/TIDCOhttp://en.wikipedia.org/wiki/TIDCOhttp://en.wikipedia.org/wiki/TIDCOhttp://en.wikipedia.org/wiki/TIDCOhttp://en.wikipedia.org/wiki/Hosurhttp://en.wikipedia.org/wiki/Hosurhttp://en.wikipedia.org/wiki/Dehradunhttp://en.wikipedia.org/wiki/Dehradunhttp://en.wikipedia.org/wiki/Goahttp://en.wikipedia.org/wiki/Goahttp://en.wikipedia.org/wiki/Tanishqhttp://en.wikipedia.org/wiki/Tanishqhttp://en.wikipedia.org/wiki/Tanishqhttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Tata_Grouphttp://en.wikipedia.org/wiki/Tata_Grouphttp://en.wikipedia.org/wiki/Tata_Grouphttp://en.wikipedia.org/wiki/Tata_Grouphttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Tanishqhttp://en.wikipedia.org/wiki/Goahttp://en.wikipedia.org/wiki/Dehradunhttp://en.wikipedia.org/wiki/Hosurhttp://en.wikipedia.org/wiki/TIDCOhttp://en.wikipedia.org/wiki/TIDCOhttp://en.wikipedia.org/wiki/Wrist_watch


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Watch division

Titan watch division was started in 1987. At launch it was the third watch company in India after

HMT. Titan formed a joint venture with Timex, which lasted until 1998, and setup a strong

distribution network across India. As of 2010, Titan watches account for a 60% share of the total

Indian market and are also sold in about 40 countries through marketing subsidiaries based in

London, Aden, Dubai and Singapore. Titan watches are sold in India through retail chains

controlled by Titan Industries.

Titan Industries has claimed to have manufactured the world's slimmest wrist watch - Titan Edge

.Produced indigenously after four years of research and development, the Titan Edge has a total

slimness of just 3.5 mm and a wafer thin movement of 1.15 mm. Apart from the Titan Edge,

Titan also offers Steel, Regalia, Raga, Fastrack, Technology, Nebula, Bandhan, Sonata, Octane,

special , Tamil Nadu. Fastrack is a popular brand among youth in India. Fastrack watches come

in a variety of styles, shapes and colors.

On 4 March, 2010, Titan Industries Announced the launch of its very first Titan flagship store is

located at Opposite Shoppers Stop, Bandra Linking Road, Mumbai, India. Store is spread over a

spacious 2,500 sq ft (230 m2) and houses more than 1500 watches on display from Titan like

Purple, Automatics, Orion, Raga, Edge, Nebula, and many more

.

Precision Engineering Division

Precision Engineering Division of Titan was started in 2002. It has become one of the leading

manufacturers of Precision Parts forAutomotive and Aerospace Industries.

The Diverse Product range includes pointers, dashboard clusters like Fuel Gauge, Temperature

Gauge, Gear Shift Indicators, Clocks for Automobiles and any kind of Injection molded Plastic

parts, Electromechanical Assemblies for automobiles, all kinds of pressed and turned parts for

automobiles. The Tooling Sector of Precision Engineering Division manufactures all kinds of

Press Tool, Molds, Jigs, and Fixtures for various industries.
http://en.wikipedia.org/wiki/Hindustan_Machine_Toolshttp://en.wikipedia.org/wiki/Joint_venturehttp://en.wikipedia.org/wiki/Timex_Group_USAhttp://en.wikipedia.org/wiki/Londonhttp://en.wikipedia.org/wiki/Adenhttp://en.wikipedia.org/wiki/Dubaihttp://en.wikipedia.org/wiki/Singaporehttp://en.wikipedia.org/w/index.php?title=Titan_Edge&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Titan_Edge&action=edit&redlink=1http://www.titanped.com/http://en.wikipedia.org/wiki/Automotivehttp://en.wikipedia.org/wiki/Aerospacehttp://en.wikipedia.org/wiki/Fuel_Gaugehttp://en.wikipedia.org/wiki/Temperature_Gaugehttp://en.wikipedia.org/wiki/Temperature_Gaugehttp://en.wikipedia.org/wiki/Clockshttp://en.wikipedia.org/wiki/Electromechanicalhttp://en.wikipedia.org/wiki/Press_Toolhttp://en.wikipedia.org/wiki/Moldshttp://en.wikipedia.org/wiki/Moldshttp://en.wikipedia.org/wiki/Press_Toolhttp://en.wikipedia.org/wiki/Electromechanicalhttp://en.wikipedia.org/wiki/Clockshttp://en.wikipedia.org/wiki/Temperature_Gaugehttp://en.wikipedia.org/wiki/Temperature_Gaugehttp://en.wikipedia.org/wiki/Fuel_Gaugehttp://en.wikipedia.org/wiki/Aerospacehttp://en.wikipedia.org/wiki/Automotivehttp://www.titanped.com/http://en.wikipedia.org/w/index.php?title=Titan_Edge&action=edit&redlink=1http://en.wikipedia.org/wiki/Singaporehttp://en.wikipedia.org/wiki/Dubaihttp://en.wikipedia.org/wiki/Adenhttp://en.wikipedia.org/wiki/Londonhttp://en.wikipedia.org/wiki/Timex_Group_USAhttp://en.wikipedia.org/wiki/Joint_venturehttp://en.wikipedia.org/wiki/Hindustan_Machine_Tools


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Titan Automation Solution, a part of Precision Engineering Division is a leading Automation

Solution Provider for all kind of industries. They made significant contributions to add value

during the product development stages of the low-cost water purifier, Tata swatch, developed by

Tata Chemicals. The Automation Solution applied its precision engineering capabilities to supply

automation solutions for the development of special assembly presses that enabled mass

production ofTata swatch.

Jewelry division

Tanishqis currently the most prominent jewellerybrand ofIndia, and it pioneered the concept

of branded jewellery and ornaments in India. The name Tanishq has been formed by combining

"Ta" (the first two letters of Tata) and "Nishk or Nishkh" (meaning gold coin or necklace in

Sanskrit).

Tanishq is India's largest jewellery brand with a wide range of jewellery in 22Kt pure gold

studded with diamonds or colored gems. It is the fastest growing jewellery brand in India.

Tanishq, established in 1995, challenged the established family jeweler and introduced new rules

in precious jewellery; a category as old as civilization. Tanishq challenged the age-old jewelers

word with Tata's guaranteed purity. Tanishq initial foray into the jewellery business was a failure

though. Tanishq at first introduced 18 Kt gold jewellery advertising 18 Kt as the 'internationalstandard.' This less pure gold was completely rejected by the market dominated by (purported)

22 Kt gold. Later on, it exploded the market with facts about rampant impurity across India. It

introduced technology-backed challenge in a category completely governed by blind individual

trust. Tanishq introduced innovations like Karat meter, the only non destructive means to check

the purity of gold; machine made jewellery, which offers superior finish and value to the

customer and handcrafted jewellery which is influenced by various jewellery traditions of India.

Tanishq has set up production and sourcing bases with thorough research of the jewellery crafts

of India. The 135,000 sq ft (12,500 m2). Factory is equipped with the latest and most modern

machinery and equipment. The factory complies with all labour and environmental standards,

located at Hosur, Tamil Nadu. The brand brings together the work ofkarigars, who specialize in
http://www.titanautomation.in/http://en.wikipedia.org/wiki/Tata_swachhttp://en.wikipedia.org/wiki/Tata_Chemicalshttp://en.wikipedia.org/wiki/Tata_swachhttp://en.wikipedia.org/wiki/Tanishqhttp://en.wikipedia.org/wiki/Tanishqhttp://en.wikipedia.org/wiki/Jewelleryhttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Goldhttp://en.wikipedia.org/wiki/Diamondshttp://en.wikipedia.org/wiki/Gemstonehttp://en.wikipedia.org/wiki/Karatmeterhttp://en.wikipedia.org/wiki/Hosurhttp://en.wikipedia.org/wiki/Tamil_Naduhttp://en.wikipedia.org/wiki/Karigarshttp://en.wikipedia.org/wiki/Karigarshttp://en.wikipedia.org/wiki/Tamil_Naduhttp://en.wikipedia.org/wiki/Hosurhttp://en.wikipedia.org/wiki/Karatmeterhttp://en.wikipedia.org/wiki/Gemstonehttp://en.wikipedia.org/wiki/Diamondshttp://en.wikipedia.org/wiki/Goldhttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Jewelleryhttp://en.wikipedia.org/wiki/Tanishqhttp://en.wikipedia.org/wiki/Tata_swachhttp://en.wikipedia.org/wiki/Tata_Chemicalshttp://en.wikipedia.org/wiki/Tata_swachhttp://www.titanautomation.in/


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different styles of making jewellery. Karigars, who continue to be an exploited lot with other

jewelers, are paid fair remuneration and work under good working conditions in Tanishq.

Prescription Eyewear Division (PEW)

The PEW business is Titan's latest retailing venture. The company now has 48 stores under the

"Titan Eye+" brand across the country. Over the next few years the company plans to expand to

250 stores.

Face of Titan

The Company also runs a one of a kind contest in the retail industry called the Face Of Titan

(FOT) contest to identify the most talented Sales person, Manager & Service personnelTechnician & Cashier. The contest recognizes the best based on a set of parameters that give a

measure of the overall development of the individual in each of the categories mentioned above

and is not solely on sales.

This program was conceived as an assessment center for front-line staff - by Aparna Ponnappa,

inspired at that time by staff who expressed their desire to 'perform' and 'be recognized' for what

they do. This program enabled the retail wing of Titan to empower staff to take charge of their

own skill development and provided them with a healthy and fun environment to compete and

showcase their own talent.

The contest leapfrogged into the digital era from the year 2006-07 with the introduction of IT in

the capturing of survey data across all of its 200+ stores, that year also saw the introduction of

the data gathered at the store level being used to profile the staff at various levels using a custom

built web based software developed by I.GEN Labs.

TITAN company has good reputation in Indian stock market (NSE). Sonata reached the top 100

most trusted brands of India in a study - The Brand Trust Report conducted by Trust Research

Advisory. The same study has also ranked Titan as 10th Most Trusted Brand.

Areas of business
http://en.wikipedia.org/wiki/The_Brand_Trust_Reporthttp://en.wikipedia.org/wiki/The_Brand_Trust_Report


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Titan's main products are:

Watches: The four main watch brands include Titan for the mid-premium segment, Fastrack

focused on the youth and trendy fashion space, Sonata for the mass market and Xylys for the

premium market. The Titan brand architecture comprises several sub-brands: Titan Edge,

Titan Raga, Nebula and several other collections like Wall Street, Heritage, Regalia, and the

Aviator series.

The company manufactures over 10 million watches per annum and has a customer base of

over 100 million. Today, the Titan portfolio has over 60 per cent of the domestic market share

in the organised watch market. Watches are sold through exclusive 'World of Titan'

showrooms and at 12,000 outlets in more than 2,500 cities in India and internationally in over

30 countries, primarily in the Middle-East and Asia Pacific. Its after-sales-service is itself a

benchmarked operation with service centers and amongst the worlds fastest turnaround times.

The company has a world-class design studio for designing watches and accessories.

Jewellery:Tanishq is Indias largest, fastest growing jewellery brand with a premium rangeof gold jewellery studded with diamonds or colored gems, and a wide range in 22kt pure gold

and platinum jewellery. Gold Plus is the recent retail plain gold jewellery offering for the

mass market. The jewellery division has its own design studio.

Eye wear: Titan Eye+ retails sunglasses under the Fastrack brand and prescription eye wear

consisting of frames, lenses, sunglasses, accessories and contact lenses of its in-house brands

and other premium brands.

Precision engineering:The companys Precision Engineering Division supplies precision

components to the aviation and automotive industries. It also manufactures dashboard clocks

as OEM to car manufacturers in Europe and America, and provides fully integratedautomation solutions.


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Products

The company manufactures over 8 million watches per annum and has a customer base of over

80 million. It has manufacturing and assembly operations at Hosur, Dehradun, Roorkee and

Baddi in Himachal Pradesh and an ECB plant in Goa. Its main products are:

Watches: Currently manufactures four main watch brands viz. Titan for the premium segment,

Fastrack focused on the youth and trendy fashion space, Sonata for the mass market and

Xylys for the premium market. The Titan brand architecture comprises several sub-brands, each

of which is a leader in its segment. Notable among them are: Titan EdgeThe world's slimmest

watch which stands for the philosophy of "less is more"; Titan Raga the feminine and

sensuous accessory for today's woman, Nebula - crafted in solid gold and precious stones and

several other collections like Wall Street, Heritage, Regalia, Octane, Orion, Diva, Zoop,

WWF and the Aviator series, all of which form a part of the Titan wardrobe. Sonata is today

India's largest watch selling brand and is priced between Rs 295/- and Rs 1200/-. The company's

first Swiss Made watch Xylys is for the hi-end connoisseur and new age achiever. It also

markets Tommy Hilfiger watches under a licensing arrangement and is introducing Hugo Boss.

Today, the Titan portfolio has about 65% of the domestic market share in the organized watches.

The company has 255 exclusive showrooms christened 'World of Titan', making it amongst the

largest chains in its category. Titan watches are sold through over 12,000 outlets in over 2,500

cities and internationally in over 30 countries, primarily in the Middle-East and Asia Pacific. Its

after-sales-service is itself a benchmarked operation with a network of 750 service centers and

amongst the world's fastest turnaround times. The company has a world-class design studio for

watches and accessories.

Jewellery: Tanishq is India's largest and fastest growing jewellery brand with a premium range

of gold jewellery studded with diamonds or colored gems and a wide range in 22kt pure gold.

Platinum jewellery is also a part of the product range Tanishq is one of India's largest speciality

retailers and is transforming the jewellery market in India 102 boutiques in 72 cities across the

country. Gold Plus' is the recent retail offering for the mass market with plain gold jewellery

selling through 19 stores in 19 towns. The jewellery division has its own design studio.


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Eye wear:Titan Eye+ is currently on a pilot mode with 5 stores in 2 cities and has sunglasses

under Fastrack brand and prescription eyewear consisting of Frames, Lenses, Sunglasses,

Accessories and Contact Lenses of in-house brands and other premium brands.

Precision Engineering: The Companys Precision Engineering Division supplies precision

components to the avionics and the automotive industry. It also manufactures dashboard clocks

as OEM to car manufacturers in Europe and America. The division also provides fully integrated

Automation solutions.

STP OF TITAN

SEGMENTATION OF TITANTitan has realized the demand of the society and has marketed its products for each of the

following social strata.

First segment:

For this segment, watch is a fashion statement.

TitanhasROYALE, AURUM , and NEBULA f o r t h i s s egment . Thes e p r oduc t s

Hav e s p ec i a l t i es l ik e european leather, sapphire crystal, scratch resistant, crafted with 18

ct. Solid gold &inlaid with precious stones.

Second Segment:For this segment also, watch is all about fashion but price does matter to them. In

This range, Titan has RAGA, TECHNOLOGY, FAST TRACKetc. These products have

digital technology & of trendy shapes. Always splash oomph onto your ward robes and smear

danger on your look.

Third segment:

For this segment, watch is just an device to show the time. They

i nves t a f t e r a l o t o f t hough t s . I n t h i s ca t egor y , T i t an has TIMEX,

SONA TA , KARISHMA, etc.


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Psychographic Segmentation:

Buyers are divided into different groups based on personality, values, belief,

Lifestyle, motivation, etc. People within the same demographic group can exhibit very

Different psychographic profiles.

Lifestyle:

People generally exhibit different lifestyle depending upon their income,

socia group etc. People usually buy the product which suit their lifestyle.

TITAN PERSPECTIVE

According to the life style of people Titan has segmented its product to fit the box. Like in the

luxury section it has NEBULA, AURUM etc. In the mid-premium section RAGA,

GOLD-STEEL, TECHNOLOGY, etc. And in the mass section, it has SONATA, TIMEXand

KARISHMA.

Personality:

Marketers can use personality variables to segment markets. They end their products

with brand personalities that correspond to consumer personalities.

TITAN PERSPECTIVE

Titan advertises its products by portraying movie stars as user of its products and it offers a lot of

option to its customers. For example:-

In economy category, 60 products In luxury category, 26 products In sports & casual category, 76 produc

ts In fashion category, 99 products In formal category, 14 productsValues:

Values affect customer behavior in the long run. Marketers can use values

and beliefs to segment the markets.


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TITAN PERSPECTIVE

Ti me has t he s ame va l ue f o r a l l i r r e s pec t i ve o f cast , c r eed and s ex . S t i l l ,

Titan successfully segmented its products according to customer values. But it is

bas ical ly related to type of generation they are in to. So, the segmentation is also related to that.

BEHAVIORAL SEGMENTATION:

Organizations can divide markets on the basis of behavior that consumer shows

towards theusage of the product s . Var ious var i ables for segment ing market

o n t he ba s i s o f p urch as e behavior of customers are occasions, benefits, user status.

Us age o f t he p r oduc t s . Var i ous va r i ab l es f o r s egment i ng mar ke t on t he ba

s i s o f pu rc has e behavior of customers are occasions, benefits, user status, usage rate, loyalty,

etc.

Occasions:Markets can be classified on the basis of various occas ions that customers encounter

because people need different products for different occasions.

TITAN PERSPECTIVE

Titan also offers occasion specific products like Formal (NEBULLA, STEEL,

RAGA, GOLD&STEEL), Dress wear (REGALIA, RAGA, GOLD&STEEL, ROYALE),

Fashion (TECHNOLOGY, STEEL, RAGA, GOLD&STEEL, FAST TRACK)

Benefits:

Mar ke t i s d i v i ded on t he bas i s o f t he bene f i t s cus t omer s

seek from the products. Benefit segmentation can be used to position various

brands wi th in the same product category.

TITAN PERSPECTIVETitan product has benefits like:

It provides the TITANWORLDSERVICE CENTRE in 174 towns.

It provides a huge product range to choose from.

Its products have good life cycle.


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Usage Rate

: The usage rate of a particu lar product/se rvice can be divided into heavy, medium

and light. Marketers are usually attracted to heavy users than other type of users.

Loyalty Status:

The loyalt y status of a particul ar market can be divided into different groups,

according to the intensity of their loyalty to these brands.

MARKET SEGMENTATION PROCEDURE

It is a three step procedure:

1. Service stage:

Here the researcher conducts exploratory interviews and focused groups to gain insights into

consumer motivations attitudes and behaviors. Then the researcher prepares a

questionnaire and collects data on attributes and their importance ratings, brand

awareness and brand ratings, product usage patterns, attitudes towards

productca t egor y a nd demo graph i cs , geogr ap h i c , ps ych o gr ap h i cs a nd medi a

graphics of therespondents.

2. Analysis Stage:

In this the researcher applies factor analysis to the data to remove highly co rrelated variables

then apply cluster analysis to create specific number of maximally different segments.

3. Profiling stage:

Here each cluster is profiled according to its distinguishing

Attitudes, behavior, demographics, psychographics, and media graphics and media

pat terns. Each segment is given a name depending on its dominant characteristics. Market

segmentation should be redone periodically because they change.

EFFECTIVE SEGMENTATION


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For effective segmentation, segmentation variables need to exhibit certain characteristics. These

are discussed below:

Measurable:

T h e v a r i a b l e u s e d f o r t h e s e g m e n t a t i o n o f t h e m a r k e t s s h o u l d b e

meas ur ab l e t o be e f f ec t i ve .

Fo r e xa mp le , a va ria bl e l ik e th e pu rch as in g po we r of potential customer is

measurable.

Substantial:

When div iding the market into segments, a markete r should take enough care to see

that each segment consist of adequate number of customers worth catering to.

Accessible:

The s egment o f t he mar ke t t ha t a mar ke t e r i s t r y i ng t o t a r ge t s hou l d be

accessible to him. The appropriate selection of the media, its coverage and other factors

L i k e t h e p r o d u c t d i s t r i b u t i o n f a c i l i t i e s p l a y a m a j o r r o l e i n a m a r k

e t e r b e c o m i n g accessible to customers.

Differentiable:

Each segment of the market should be different from others in terms of its needs

and wants. Each segment requires different marketing strategies because it responds

to different strategies differently.

Actionable:

A segmentation variable should help marketers develop effective marketing programs to attract

and serve potential customers effectively.


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TARGETING

It is the second stage of the Segment Target Position (STP) process. After the most attractive segments are selected,

a company should not directly start targeting all these segments. The attractiveness of the segments is also

depending on other important factors. In the main activity of defining a target market, four sub activities

are given which are the bases for deciding on which segments will actually be targeted. The four sub

activities within targeting are:

1. Defining the abilities of the company and resources needed to enter a market

2. Analyzing competitors on their resources and skills

3. Considering the companys abilities compared to the competitors

4. Deciding on the actual target markets.After the market has been separated into its segments, the marketer will select a segmentor series of segment and target it/them. Resources and efforts will be targeted at the:

a)First:

the single segment with a single product. In other word, the marketer targets single product

offering at a single segment in a market with many segments. Forexample, Titans sub brand,

Raga is targeting the upwardly mobile ladies in the upper premium segment


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b) Secondly:

The marketer could ignore the differences in the segments, and choose to aim a single product at

all segments i.e. the whole market. For example, Sonata and Fast track brands of Titan are

targeting mass and mid premium segment.

C) Finally:

There is a multi-segment approach. Here a marketer will target a variety of different segments

with a series of differentiated products. For example, Titan itself provides with the number of

SONATA


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different brands/products which are targeting different segments in the market. Following is the

table which represents the various sub brands and their targeted segments of TITAN.

POSTIONING

INTRODUCTION

T h e i m p o r t a n c e o f a n i m a g e h a s b e c o m e a n e m o t i o n a l p a r t o f e v e r

y o n e . A b r a n d n a m e represents the image, character and personality of a brand. A brand

FASTRACK


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name should be clear, lucid, easy to remember, distinct from the competition and

should not be generic to the cat egory. It should become customer's Top of the mind brand

(TOMB). Most successful brand names would s a ti s f y t h es e c ri t e ri on s t o qu i t e an

exten t . Bra nd lo yal ty i s one th ing which has made the branding more

popul ar . As someone rightl y sa id "Brand loya lt y is not dead, it 's just mo re like

loyalty to a girl/boyfriend than loyalty to a husband/wife. Vast flow of names today makes a

brand harder to differentiate them unless they come out with their own uniqueness. This way,

they could come to their special position in everyday life.

Thei m a g e f o l l o w i n g a p a r t i c u l a r n a m e i s a l s o d e t e r m i n e d b y t h e r o l

e o f c o m m u n i c a t i o n i t undergoes ; of which the fol lowings are included: i ts

manner, personality, behavior, ethics, values, etc. The importance of brands depends on the

true ambitions of the company. The increasing spread and domination of international brands has

seemed inevitable for at least the last 30 years. All around the world we have witnessed the

disappearance of local brands and local variants. But despite this trend, local and regional brands

still remain strong. In India, for example, pro tec ted for many years by government

pol ic y from the invas ion of foreign brands , homegrown brands dominate many sectors -

Tata automobiles and Titan watches, to name but a few. In the end people want both global

and local brands - brands that make them feel part of wider international community and

brands that root them in their home culture.

TITAN PERSPECTIVE

A. Titan initially pioneered the concept of "Gifting watches". The ads captured the essence of

gifting and along with the trendy music, easily caught the imagination of the market. Customers

who were fed up with ugly time machines welcomed the brand and Titan hada dream run for

many years. Titan then moved away from gifting. Titan was positioning itself as a fashion

accessory rather than a time keeping device. Titan also found its persona in MR. Aimer khan

This provided the much needed edge to the brand. Titan was careful in keeping the brand above

the celebrity. The ads were fresh and neatly executed. The idea was to make watches that would

be seen as style and fashion accessories rather than just utilitarian devices. The company decided

to use Aamir in brand and product communication on television and in the print and outdoor


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media. Though, the vast distribution and service network of TIL had served as an effective

entry barrier in the 1990s, foreign brands were becoming increasingly popular in the early

2000s, thanks to the paradigm shifts in the retail scenario and the growing affluence of the Indian

consumers. And TIL found that it was not safe even at the bottom of the pyramid. The grey

market with cheap Chinese imports and the unorganized sector had cornered a sizable chunk

of the low-end market. The appointment of Aamir Khan as brand ambassador for the Titan brand

was seen as an attempt to broad base the appeal of the Titan brand.

B. Titan also was pushing another strategy. Watches were perceived as a onetime buy and

consumers seldom owned multiple watches. So Titan pushed the concept of "Matching Watches to

Clothesin the recent commercials. Since men a re becoming m ore serious customers of

fashion accessories, this is strategy that is worth trying out. For Titan, even if the concept fails, It

has created the much needed freshness in the brand.

C. Earlier Fastrack was targeted at 20-25 year olds and positioned along the line

"Cool watches from Titan". Then the company found out that the youth in the age

group of 11-2 0 year s accoun t for 42 % of watc h buyin g in Indi a . Ba sed on

th is in si gh t, th e company relaunched the brand lowering the target segment to 18-

30 year olds with the basel ine How many you have?". Again the strategy aimed at

promoti ngmult iplewa t ch owni ng con ce pt s . Fas t r ack a l s o l aun ch ed a r ange o f

f a sh i on a cce ss o r i es l i ke Sunglasses trying to be a lifestyle brand.

Positioning

WATCHES

Raga

The slimmest watch in the universe All good things are packaged small. Or we can say they are packagedslim.

Titan presents a large range of Titan Edge watchesthe slimmest in the world. Cleancut, elegant designs that

speak of who you are. Go ahead; choose a style that says so much with so little. And you can see it is adding an

edge to your persona.


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Orion

A unique range of watches inspired by the astral wonders of the universe. The collection celebrates the intelligence

and masculinity oftodays men.

Octane

Be speed,bemore A range of high octane sports watches personifying speed and power with multi-functions,

retrograde, analog-digital and chronograph.

Nebula

Inspired by the noble metal. Titan presents a classic collection of stunning jewelry watches-NEBULA. Crafted

superbly from 18 karat solid gold and inlaid with precious stones, each piece comes with a lifetime guarantee.

Zoop

Titan presents Zoop- timepieces for young stars. Take your pick from floral, butterfly, duckling, and base ball

themed watches or go digital with features such as dual time, countdown timer, 50 yr calendar, compass,

stopwatch, alarm, EL backlight and more.

WWF

Titan & WWF have joined hands to celebrate the beauty & behavior of six endangered species with the launch of

six newanimals themed watches. A part of the proceeds from every watch sale is contributed to WWF towards

the preservation of these animals.

Raga

Unveil the real you, Be moreThe magic of ornate motifs and blushing enamel casts a spell on you.From

intricate dials glowing with inner radiance, to delicate bracelets that flow around you in familiar embrace. The

essence of woman, Revealed at last.

FASTRACK

Titan Fast track is positioned as an essential thing for the trendy youth of today. With its special

offerings it is really serving the urban youth. Its strongest offerings are availability and affordability.

Titan Eye+

Ti ta n In du st ri es of fe rs su ng la ss es un de r it s Fa st ra ck brand. Prescription eyewearsuch as lenses and contact lenses is also part of the range. Titan Eye + offers frames, sunglasses,

and accessories of Titan.

Tanishq

Coolers of Royalty: Colored jewelry corrected the impression of tanishq having only modern

design.


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Aarka: Positioned tanishq as high fashion 22 karat gold collection.

Fashion earrings: collection of studded jewelry, an attempt to move tanishq from

being a traditional studded collection.

Brand Positioning of Tanishq

P r o m i s e o f p u r i t y a n d a u n i q u e e x p e r i e n c e . D e s i g n a n d r e t a i l innovatin

have been the hallmark of tanishq all these years.

Promise of purity and unique experience

Design and retail innovation have been the hallmark of tanishq all these years

First and only jeweler to guarantee the purity of its gold jewelry and cert ifi es the

quali ty of its diamonds and colo red gems in writing.

Trust

It has established itself as a highly ethical player in a market that was rated as having the highest incidents of

under karat age.

They even have gold meters where one can check the purity ofthe gold.

Luxury

Tanishq also has been positioned as a branded jewelry ofluxury rather than commodity. It

moves jewelry beyond investments to the fashion and adornment sector.

Superior Product

In order to compete with the regional players tanishq introduced the concept of consistency in

delivering promise

Tanishq is known for i ts abil i ty to develop special ized designcollect ion21

It is the only jewelers that house a fully fledged design studio

w i t h a t e a m o f s e v e r a l i n t e r n a t i o n a l a w a r d s w i n n i n g I n d i a n designers.

Offer a totally new perspective to jewelry buying especially when it comes to exquisite oriental

jewelry.

MARKETING MIX


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PRODUCT STRATEGY:

product strategy titan started making and marketing over 6 million watches titan used an aggressive

approach in producing its product. usually the quality of watches were contemporary in style titans

produced new models and dials at regular intervals.

CONTINUATION:

CONTINUATION. Titan started producing quartz watches. It produced more than 1000 models

in corporate world trends. Titan produced watches which matched ones dress on occasions and

even it produced jewelry watches. Finally it launched nebula which were gold plated watches.

PRICE STRATEGY:

PRICE STRATEGY Initially titans produced watches were sold at a mere price rate. Gradually

titan quartered two distinct segments - RS 9000 to RS 15000 (medium category) and RS 15000

to RS 80000 (top of the line category). It emerged its business by successfully tapping the

middle and the upper market segments which produced watches costing more than RS 500.

CONTINUATION:

Continuation. It conferred a dominant position in the market by pricing its watches at a range of

RS 350-500 It even produced high priced watches for the upper class society named-NEBULA

costing around 5950-32000 Designed watches for childrenDASH and priced them at a cost of

RS 250-395 And finally in the year 1999-2000 titans sales turnovercame to RS 630 cr. , net

profits were 19.2 cr. And watch business generated 20% return on capital employed.

Promotion strategy:

Promotion strategy Titan , started promoting both of its kindsmechanical and quartz. The

promotion was so vigorous that market got an impression titans the first to produce quartz

watches , but HMT had already introduced it back in 1981 It started selling and promoting its

watches in two segmentsperson to person gifting , and using it as a corporate gift. Titan made

its product available at localities such as , bookstores , gift shops and boutiques.Continuation.:

Continuation. It followed a principle , ONCE YOU HAVE TARGETTED YOUR CUSTOMER ,

FOLLOW HIM WHEREVER HE GOES. Titan voted for showrooms idea and started

franchising a network of trends titan showrooms. It spent over RS 20 cr /yr. for promotion in the

initial years One of its SALES PROMOTION scheme was GOLD BONAZA , which offered a


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first prize of jewelry worth RS 1.5 lakes and RS 1 lakes in cash. Further it allocated a promotion

budget of RS 42 cr. as compared to 35 cr. the prev. year.

PLACE STARTEGY:

PLACE STARTEGY The companys watches are currently sold in about 40 countries of the

world , through marketing subsidiaries based in London , Dubai , and Singapore. It has more

than 6000 retail shops spread through out the country , covering 1200 towns. Currently titan has

spread over 350 shops in the UAE , OMAN , BAHRIAN , and QATAR.

LATEST DEVELOPMENT IN TITAN

HTSE watches can be charged by any light upward of 200 lux, even a candle light can

charge it, claimed the company.

With the use of Titanium in their latest Edge -2012

collection, Titan sets new... The new Edge with less than 4mm casing redefines the

standards for slim watch...Development Corporation (TIDCO) commenced operations

in 1987.

Growth Rate: Titan is maintaining a growth rate of 30-35%.Future Plans.

Titan is planning to roll out its own Swissmade premium watchesbrand ` Xylysby August2007, in order to lure the watch market. Xylys would be competing with premiuminternational brands includingTissotand Rado.

Titan is aiming to be a$1 billion company by 2010(Rs 4,700) core hence acquiring a three-fold growth. Titan has realized the demand of the society and has marketed its productsfor each of the following social strata.

RESEARCH METHODOLOGY

SECONDARY DATA: The secondary data is used to prepare this project. As the data is

collection from secondary source it cannot be said as reliable source/evidence.


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CONCLUSION, FINDING & RECOMMENDATION

Titan is worlds sixth largest manufacturer plant for watches. It has achieved this position by

its wonderful marketing strategies. From time to time, it has been involved in STP analysis tosustain its brand image and growth rate and also to become the leader in the Indian watch

market. Through its meticulous segmentation, it has been able to reach out to every possible

single segment of consumers. The product range varies from Rs.350 to Rs. 1, 00,000 covering all

the economy and super premium segments. In addition to giving a tough competition to various

Local brands in India, it is also a strong competitor of various leading International watch

makers. The main competitors of Titan are Timex, Citizen, Esprit, and Swatch.

HMT is its closest competitor in numbers. Titan manufactures over 7 million watches per annum

and has a customer base of over 65 million. Titan has over 60 per cent of the domestic market

share in the organized watch market. Its exclusive retail showroom chainWorld of Titanis

amongst the largest in its category. Titan watches are sold through over 9,000 outlets in over

2,300 cities and internationally in over 30 countries including the UK, Spain, Greece and

countries in the Middle East and Asia Pacific. Its after sales service is itself a

benchmarked operation with a network of over 616 service centers and has one of the worlds

fastest turnaround times.

BIBLOGRAPHY

WWW.TITAN.COM

WWW.GOOGLE.CO.IN

WWW.INFOSHINE.COM

WWW.SCRIBD.COM

WWW.WIKIPIDIA.COM
http://www.titan.com/http://www.google.co.in/http://www.infoshine.com/http://www.scribd.com/http://www.wikipidia.com/http://www.wikipidia.com/http://www.scribd.com/http://www.infoshine.com/http://www.google.co.in/http://www.titan.com/


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SWOT Analysis

Strength

a) The varied offering to diverse segment with a clear cut positioning.

b) The quality of watches is impressive.

c) Innovation is core to its strategy.

d) Visual merchandizing has been titans strength ever since its inception.

e) Good retail networkby world oftitan.

f) Excellent customer service.

g) International tie-up with Hugo boss and Tommy Hilfiger.Weakness

a).Waterproof watches not a part of its kitty.

b).Rural India does not form a substantial part of customer base.

c).kids is fascinated with mobile phone rather than watches and incidentally, they show the time

Opportunities

a).under-penetrated market for watches as only 35 %( approximately) of Indian population

possess watches.

b).watches positioned as a fashion wear rather than just utility products.

c).with a changing consumer attitude, people like to possess multiple watches for different

occasions and event.

d).huge market in the exchange business.

e).introducing waterproof watches.

f).rural market may be tapped.

Threats From competitors

a).Japanese- citizen, Casio.


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b).swiss-rolex, omega, rado, tissot, tag heur, etc.

c).Chinese watches

d).unorganized sector/ grey market.

e).mobile phone and wall clocks are a substitute to watches.

f).the fashion trend keep on changing.

MICHAEL PORTERS MODAL

BARRIERS TO ENTRY

Cluttered Market Lack of Differentiation

SUPPLIER

POWERNo strong suppliers

Lack bargaining

power R i s e o f

C h i n a ,

T a i w a n a s l o w c o s t

THREAT OF SUBSTITUTESNo close substitutes

DEGREE OF RIVALRY

Increased number of firm slow switching

costs Strategic stakes is high

BUYER

POWERPrice sensitivity,

Buyers

Preferences


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1. Supplier Power:TITAN has its own fully integrated operation for production of its watches.

Titan has its own production facilities for which it has invested roughly 120 core

rupees over the years, the ma nu fa ct ur in g ca pa ci ty of wh ic h is 6 mi ll i on

units. Also there has been a rise of low cost producers in China & Taiwan

which has provided an opportunity for watch makers to outsource watches at low

cost, just as Titan has done to outsource the components for Dash. Due to

the large supply of watch movements available, there is little supplier power in the

watch market.

2. Buyer Power:

T h e T I T A N w a t c h b u y e r s a r e v e r y p r i c e s e n s i t i v e , e s p e c i a l l y i n t h e

lower end of the market. There is still a huge untapped market in India

with market penetration of only 20 units per thousand people while the

world average is more than 100. At the same time there are segment of

people who are willing to pay a premium for watches with good

performance and with a recognized brand name. So understanding the buyers

preferences is very crucial in this industry in order to gain a substantial market share.

3. Entry Barriers:

The Indian watch market in the recent years has shown a dramatic increase in the

number of brands available in the market due to removal of quantitative restrictions. So

the new entrant has to have an offering, which can be positioned and differentiated

from the other players in the market. This could be either price or functional or

emot ional appeal . So the prime barri er for entry, in the current context, for a new

entrant is to build a brand image and price competitively.

4. Threat of Substitutes:

There are no such substitutes to watch as a product. However, in terms of the

companies offering various variations for watches such as pendant watches

and jewel lery wat ches, some sort of substitution has developed. Rich consumers

prefer to purchase watches more as a fashion accessory rather than simply for its typical

use.

5. Degree of Rivalry:

T here a re m a ny c om pa nies in the I nd ia n wa tc h m a rk et ; however ,

th e p r od u c t r a n g es offered by them are manifold. This makes the competition very

stiff. Also at the lower end of the marke t i t is basi cal ly the Value for Mone y,


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whic h d iff erentiates the players. The strate gic stakes for the producers are very

high. Titan Ltd., the largest company in terms of market share in the organized

sector has faced losses in the quarter ended June 2011 despite increase in

the market share due to macroeconomic si tuation. TITAN faced a similar

Situation when Titan was introduced in the 1980s leading to a sharp fall in its marketshare.

Documents

Project Report of Titan